Vietnam's Major Restructuring of Customs Authorities

Posted by Son Nguyen
Blog originally posted on 27/03/2025 06:45 AM

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On February 18, 2025, Vietnam’s National Assembly approved a major government restructuring, consolidating ministries and agencies, eliminating specific National Assembly and Party committees, and dissolving multiple state-run organizations to streamline operations and support economic growth. 

During the restructuring, the Ministry of Finance has notably merged with the Ministry of Planning and Investment as the (new) Ministry of Finance. Accordingly, the customs authorities (including the General Department of Customs and other provincial customs departments) are reorganized as shown in the table below:

 

Date

Central level

Local level

Before 1/March/2015

General Department of Customs, with 16 Departments

Provincial Customs Department (35 departments)

From 1/March/2025

Department of Customs, with 12 Sub-Departments

Regional Customs Department (equivalent to 20 Inter-provincial Customs Departments)

 

Advantages for Businesses

The restructuring aims to reduce the number of contact points businesses may need to interact with. Vietnam Customs would eliminate 485 intermediate points  (approximately 53.77%) at the central and provincial levels. We foresee that businesses could expect fewer customs processing points and may save time for customs procedures for imported/exported goods.

Potential Challenges

On the other hand, the customs restructuring, while aiming for long-term benefits, may present some challenges for businesses, including:

  • Uncertainty in regulation interpretation/execution regarding customs and trade: Changing names of relevant customs agencies triggers the need to change relevant customs regulations. In addition, merging ministries also involves changing rules and procedures that customs authorities have to implement. While the Ministry of Finance and other Ministries are amending/drafting regulations regarding customs and trade, there could be misleading interpretation/execution regulations in carrying out customs procedures.
  • Customs clearance delay: Centralized customs declaration via the customs system may lead to a bottleneck of import/export customs declaration entries. Reorganizing customs internal organization may also lead to changing the coding system and hence may cause system delay.
  • Potential error in settling duties and taxes: Restructuring may lead to changing the customs sub-departments names in charge of customs clearance for imported/exported goods, hence changing duties and tax payment details. Businesses may encounter payment to obsolete customs authorities and may be unable to clear customs procedures for imported/exported goods on time.

Recommendations for Businesses

As Vietnam's Customs in particular, and Vietnam’s political system, in general are undergoing significant transformation, businesses should take the following steps to navigate this period effectively:

  • Understand the roles and responsibilities of the new customs structure and establish clear communication with the local customs agencies and the central customs level to avoid customs clearance delays.
  • Review the customs and trade regulations to ensure customs compliance.
  • Reach out to business associations or consultants where necessary.

For more information about Vietnam's customs procedures , contact Tradewin for assistance.

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Topics: Tradewin, Customs, Vietnam

Blog originally posted on 27/03/2025 06:45 AM

Son Nguyen

Written by Son Nguyen

Son leads the Tradewin practice in Vietnam. With over 25 years of experience in customs and trade, he advises clients on Customs and trade-related matters in Vietnam. Son’s career commenced with Vietnam Customs in 1997 where he spent 12 years in various capacities, including policy and enforcement, before transitioning to the consulting industry in 2009. After leaving Vietnam Customs, Son served as a director in the Customs & Trade practice of a Big 4 consulting firm, assisting customers across all industries with professional advisory and trade data management. Most recently, prior to joining Tradewin in 2024, Son was part of the Trade Facilitation Project (TFP) in Vietnam as the deputy director, where he worked on initiatives with the Vietnam Department of Customs for implementing trade facilitation activities. Son graduated from the University of Economics of Ho Chi Minh City with a Master of Business Administration.